Term life insurance is a type of life insurance that provides coverage for a certain period of time, or a 'term'. If the insured dies during this term, the death benefit is paid out to the beneficiary. This is the fundamental principle of term life insurance. The purpose of this type of insurance is to provide financial protection to the beneficiary in the event of the insured's death during the term of the policy. The sum assured is not payable if the insured survives beyond the term of the policy. Therefore, the sum assured is payable only if the insured dies within the specified time period.

Choice B is incorrect. The sum assured in a term life insurance policy is not dependent on whether the beneficiary is alive at the end of the specified term. The policy pays out if the insured dies within the specified time period, regardless of whether or not the beneficiary survives this period.

Choice C is incorrect. If the insured lives beyond the specified term period, no death benefit will be paid out under a term life insurance policy. This type of insurance only provides coverage for a specific 'term' or duration; if this duration expires and no claim has been made (i.e., if the insured does not die), then no benefit will be paid.

Choice D is incorrect. The death of a beneficiary within a specified term does not trigger payment in a term life insurance policy. The payout condition for such policies revolves around whether or not the insured dies within that specific timeframe, irrespective of when beneficiaries pass away.